Guto Harri, a former chief political correspondent at the BBC, is linked with a role at S4C

Guto Harri, Boris Johnson's communications chief, has been linked with a role running S4C, while culture secretary Jeremy Hunt has raised eyebrows after suggesting that Welsh-language programming could run on channels such as ITV.

Harri, a former chief political correspondent at the BBC, is understood to have been openly discussing his interest in potentially taking the helm of S4C, although a formal process to find a new chief executive is not yet under way. One source said they believed that Hunt, who has the power to appoint the board of the broadcaster's governing body, the S4C Authority, may look to combine the chairman and chief executive role at least for an interim period.

It is not clear if Harri, who is understood to have received welcome feedback from members of the Welsh media industry he has sounded out, is set on formally putting his name forward. Harri worked at S4C earlier in his career and was one of a number of the Welsh political and media establishment who attended the Ryder Cup over the weekend – and was due to meet with Hunt.

Hunt was heard by several sources discussing off-the-cuff possibilities for delivering Welsh-language content at the golf event at Celtic Manor, near Newport. One idea raised was to offer English programmes with dubbed Welsh voiceovers that could be accessed via red-button services.

A second concerned moving Welsh-language programmes directly onto existing English language channels for broadcast in Wales. Hunt is understood to have floated the idea of potentially airing Welsh-language content after ITV1's The X Factor, in Wales.

The comments, whether genuine considerations or not, suggest Hunt's Department for Culture, Media and Sport, is open to what the Welsh media industry would consider radical options such as working with ITV and BBC Wales to secure the delivery of Welsh-language TV programming. S4C's senior management is currently putting the finishing touches to a report that will this week be submitted to the DCMS with details of the impact of a 24% cut to its £101m annual grant and, in a worst case scenario, a 40% reduction.

The report has been drawn up by S4C's acting chief executive, Arwel Ellis Owen, with input from expert advisers, thought to include Geraint Talfan Davies, the chairman of the Institute of Welsh Affairs, who has strong ties both past and present with the BBC having spent a decade in the 1990s as controller of BBC Wales.

Ellis Owen has been reported as saying the deep cuts could mean S4C "might have to look to other broadcasters or services to fill the gap". One source pointed out that if S4C's budget does get cut by the full 40% it will fall back to funding levels last seen in 1996, when the Welsh broadcaster aired about four and a half hours of programming a day, with the rest of the schedule filled with English-language content supplied by Channel 4.

The report is also thought to look at improving links between S4C and Cardiff-based BBC Wales, which already supplies much of its programming, and of switching responsibility for the broadcaster from the DCMS to the Welsh assembly. Other issues yet to be resolved include reforming S4C's corporate structure, with the merger of the separate authority and executive being discussed.

"There is clearly some disquiet at the way S4C is run," said one source. "But that needs time be sorted out, and time is in short supply."

Separately, Jones has engaged lawyers and is preparing a legal case against S4C.

S4C is also looking at ways of raising more commercial revenue and other forms of self help. Advertising is sold by an external agency. During its first decade after launching in 1982 under former chief executive Owen Edwards it had a closer relationship with Channel 4.

S4C, the DCMS and Harri had not responded to requests for comment at the time of publication.

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